Skip to content
srilawsby aturio
As enacted
EnglishSinhala සිංහල, official PDF on documents.gov.lkTamil தமிழ், official PDF on documents.gov.lk
Contents

Part I

34. Income splitting

Official English translation. The Sinhala text prevails. Open the official Sinhala text, official PDF on documents.gov.lk

(1)

Where a person attempts to split income with another person, the Commissioner-General may prevent any reduction in tax payable by issuing a notice in writing.

(2)

A notice referred to in subsection (1) may contain amounts to be included or deducted in calculating the income of each person or re-characterise the source and type of any income, loss, amount or payment.

(3)

A reference to a person attempting to split income includes a reference to an arrangement between associated persons –

(a)

for the transfer of an asset (directly or indirectly), including the transfer of an amount to be derived;

(b)

where the transferor retains any legal or implicit right to benefit (currently or in the future) from the asset; and

(c)

where one of the reasons for the transfer is to lower tax payable by any person.

(4)

Where a spouse receives income for services rendered in any business carried on or exercised –

(a)

by the other spouse; or

(b)

by a partnership of which that other spouse is a partner, the income shall be included in the income of the spouse who carries on the business or that partnership of which that other spouse is a partner.

Read on from s 35

Part II

Read on from Part II

Schedules